Filing an Annual Company Return (also known as the confirmation statement in the UK) is one of the most crucial tasks for a company director or business owner. It’s an annual legal requirement designed to ensure that your business is compliant with the Companies House regulations. Whether you’re a new business owner or someone looking to refresh their knowledge, understanding how to properly file your annual return can save you time, money, and hassle.
In this comprehensive guide, we will cover everything you need to know before filing your Annual Company Return, from what it is, who needs to file it, when it must be filed, and common mistakes to avoid. We will also answer some of the most frequently asked questions about the process.
What is an Annual Company Return?
An Annual Company Return is a legal document that confirms key information about your company. It is filed with Companies House, the UK government department responsible for registering and regulating companies.
It includes vital details such as:
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The company’s name
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The registered office address
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The names of directors and secretaries
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The shareholders and share capital (if applicable)
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Any changes that may have occurred within the company over the past year.
This document is important because it helps Companies House keep track of company records and ensures that your business is still operational and compliant with UK laws.
Note: Since 2016, the Annual Return has been replaced by the Confirmation Statement. The process and requirements are similar, but the terminology has changed.
Who Needs to File an Annual Company Return?
Almost all limited companies and limited liability partnerships (LLPs) in the UK are required to file an Annual Company Return (Confirmation Statement). The responsibility lies with the company director(s).
The following entities must file an Annual Return:
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Private limited companies (Ltd)
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Public limited companies (PLC)
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Limited liability partnerships (LLP)
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Community interest companies (CIC)
If your company is dormant or not trading, you still need to file the return, but you may have fewer details to provide, depending on the company status.
When Should the Annual Company Return be Filed?
The Annual Company Return must be filed every year. Here are some key points to keep in mind:
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The filing is due within 28 days of your company’s confirmation date, which is generally the anniversary of your company’s incorporation or the last Confirmation Statement.
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The confirmation date is set when the company is registered with Companies House and remains the same year after year unless changed.
If you do not file on time, your company may incur a penalty or even face striking off from the Companies House register. It is important to keep track of your filing deadline to avoid these penalties.
How to File Your Annual Company Return
The process of filing your Annual Company Return is straightforward and can be done either online or via paper forms. Here’s a step-by-step guide to help you through the filing process:
1. Access the Companies House Website
Go to the Companies House website and log in to your WebFiling account. If you don’t have one, you can easily create it.
2. Select the Company to File For
Once logged in, you’ll be directed to your company dashboard. Select the company for which you want to file the Annual Company Return.
3. Complete the Form
The online form will ask for details including:
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Registered office address
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Director’s details
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Shareholder information
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Statement of capital (if applicable)
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Any changes that have taken place in the company
Make sure to check your company’s records to ensure all the information is accurate.
4. Pay the Filing Fee
For online submissions, there is a £13 fee, while paper submissions cost £40. The online route is typically quicker and cheaper.
5. Submit the Return
Once you’ve confirmed all the details are correct, submit the form electronically. You will receive an immediate acknowledgment that your return has been filed.
Common Mistakes to Avoid
Filing an Annual Company Return may seem simple, but there are several common mistakes that can cause delays or complications. Be mindful of these issues:
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Missing the Deadline: As mentioned, failure to file within 28 days of your confirmation date can lead to fines or even your company being struck off. Make sure you mark the filing deadline on your calendar.
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Incorrect Information: Providing incorrect or outdated information, such as wrong director names, shareholding, or company status, can result in penalties.
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Failure to Report Changes: If your company has undergone changes—like a change of directors, office address, or share capital—make sure to update these details on your return.
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Not Filing for Dormant Companies: Even if your company is dormant, you must file an annual return. Failure to do so could still lead to penalties.
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Not Paying the Filing Fee: Ensure you pay the required fee, whether filing online or via paper.
How Long Does It Take to File an Annual Return?
The process itself doesn’t take long to complete, especially if you have all the information at hand. Typically, filing the Annual Company Return online takes only about 15–30 minutes. However, it may take longer if there are changes to report or if you need to gather information.
After submission, Companies House usually processes the return within a few hours for online submissions. Paper submissions may take longer—up to several days.
What Happens After You File?
Once your Annual Company Return is filed, Companies House will update its records. You will receive an email confirmation or acknowledgment letter, which serves as proof of filing. It’s crucial to keep this confirmation for your records.
If there are any issues or discrepancies with your return, Companies House will contact you for clarification. However, if everything is in order, your company will remain in good standing with the registrar.
FAQs About Annual Company Return
1. What is the difference between the Annual Return and the Confirmation Statement?
The Confirmation Statement replaced the Annual Return in 2016. While the terminology has changed, the filing process is largely the same. The Confirmation Statement allows you to verify that the information on the Companies House register is accurate and up to date.
2. Can I change the confirmation date of my company?
Yes, you can change your company’s confirmation date by submitting a special resolution to Companies House. Keep in mind that once you change the date, the new confirmation date will apply to future filings.
3. Is there a penalty for late filing?
Yes, if you fail to file your Confirmation Statement on time, your company can be fined or even struck off the Companies House register. You can face fines starting from £150 for late filing.
4. Do I need to file a Confirmation Statement if my company has not changed?
Yes, even if there are no changes to report, you are still required to file a Confirmation Statement every year. The filing confirms that all the details held by Companies House are up to date.
5. Can I amend my Confirmation Statement after submission?
If you make a mistake after submitting your Confirmation Statement, you may need to file a new statement to correct the error. Companies House allows amendments if necessary.
Conclusion
Filing the Annual Company Return (Confirmation Statement) is a straightforward yet essential task for all company directors. Keeping your company records accurate and up to date is not only a legal requirement but also a reflection of your commitment to business compliance. By understanding the filing process, adhering to deadlines, and avoiding common mistakes, you can ensure that your company stays on the right side of the law.
Remember, while the filing process is relatively simple, it’s essential to provide accurate information, keep track of your filing dates, and pay any fees associated with the return. Don’t delay—take action today to keep your business in good standing!